Woman quit her job to care for her sick mother and is now working 4-day weeks at age 72 to make ends meet. How caregivers can reduce financial strain

Before helping her mother full-time, Susan Freeman worked for various industries like banking, insurance, and food services (including a pizzeria she owned). ​As her mother’s needs increased after a stroke, Freeman had to sell the pizzeria, and she lived largely on Social Security disability checks and her husband’s income.

Besides the financial strain, this arrangement led to a temporary separation, with Freeman’s husband staying with their daughter.

Freeman’s mother eventually moved to a nursing home in 2015 and passed away in 2019, but this period permanently altered her financial future. At 72, she’s still working four days a week at a family-owned uniform store with limited savings to fund her retirement.

Despite the financial hardship, she says she’s proud she cared for her mom and that she “felt the obligation to help.” But she also admitted, “Instead of always putting my family first, I should've thought about myself more. A lot of the responsibility fell on me. I had given up a lot (1).”

Here’s why caring for loved ones — as necessary as the work is — can be a serious financial risk, especially for those nearing retirement. Before leaving the workforce to become a full time carer, consider the financial pros and cons and how you can safeguard your retirement plan to ensure you’re caring for yourself in your old age.

What are the costs of home care in the U.S.?

The increase in longevity makes decisions around long-term care a tough reality for many Americans like Freeman. According to a recent Edward Jones survey, two in five U.S. adults already identify as caregivers, and this is expected to rise to 46% in the future (2).

AARP’s 2025 Caregiving in the U.S. report found that 63 million Americans are now involved in caregiving, a 50% increase from a decade ago (3).

In addition to the immense emotional impact, these surveys reveal the extreme financial hardships caregivers face.​

Edward Jones research shows that 95% of caregivers are concerned about the security of their retirement, and over half say they had to reduce their personal spending. Like Freeman, 25% of respondents walked away from their jobs, while another 24% took on fewer hours, and 16% used their retirement savings to help with care costs (2).

Long term care in the U.S.

Although the average cost of long-term care varies by need, location and the latest inflation rate, the Federal Long Term Insurance Program estimates that annual home care costs are $51,480, while assisted living costs are $66,132, and a semiprivate room costs $112,420 (4).​

The AARP reports that family caregivers currently spend roughly $7,200 out of pocket to cover these high expenses (5).

Caring smarter: Ways to reduce the financial strain

Over the long-term, the Urban Institute estimates that women who provide unpaid care forgo an average of about $295,000 in lifetime income (which includes lost wages and reduced retirement benefits). Besides the lost cash flow, these lower earnings often translate to smaller Social Security benefits and weaker retirement security down the line (6).

​Nobody can prepare for the shock of a health emergency, but reviewing the real costs of caregiving today can help families avoid making rash decisions that undermine their financial futures. These include paid home care, assisted living and professional help.